Phil Mickelson probably isn’t going to receive much sympathy on his gripes over tax hikes due to the state of California passing Prop 30 in last November’s election.

After posting a six-under 66 in the final round of the Humana Challenge, Mickelson launched into a mini-rant on taxes, which initially began with a question about Steve Stricker’s semi-retirement and he mentioned the “political situation the last couple of months.”

He went on to imply he might cut back in playing events, too, because it’ll cost him more to compete after taxes. (I’m not clear on how that works.)

Basically, Mickelson, a resident of Rancho Santa Fe, Calif., said it was going to make such a massive impact on his life that he’d need to make “drastic changes.” He didn’t want to specify details at that time.

“I’m not sure what exactly I’m going to do yet,” said Mickelson after placing tied for 37th. “I’ll probably talk about it more in depth next week. I’m not going to jump the gun, but there are going to be some. There are going to be some drastic changes for me because I happen to be in that zone that has been targeted both federally and by the state and, you know, it doesn’t work for me right now.”

Targeted. Mmmkay. I think I hear the world’s tiniest violin playing in the background.

Does he mean that he’ll move to somewhere like Florida or Nevada or Alaska, among the seven states without income tax? That would mean uprooting his family, which seems kind of extreme, especially since his kids range from ages 10 to 14-ish.

Get excited for Phil’s pre-tourney press conference at Torrey Pines next week!

“I’ll probably go into it more next year or next week,” said Mickelson. “But if you add up all the federal and you look at the disability and the unemployment and the Social Security and the state, my tax rate’s 62, 63 percent. So I’ve got to make some decisions on what I’m going to do.”

Then, there’s this:

Q. Well, I mean I understand the 60 percent part of the equation, but in the TOUR’s plan, you guys put about as much money aside as you want. It’s treated differently under tax laws than most anybody else’s tax plans. Where most people can only put away $45,000 or $50,000, you guys can put as much away as you want. And so at the end you guys end up with a much larger pot of gold than most people can.

PHIL MICKELSON: But when it comes out, it’s still taxed at the same 62 percent rate.

Q. Well, you’re still making that kind of money. That’s if you’re still in that bracket.

Ah, never a dull moment. Maybe Phil’s just making a statement. But he’s certainly not the only person in the world who thinks high taxes are “unfair”. Imagine making under $100,000 a year and having plenty of that taxed away. In comparison, you have it pretty nice, Phil. I hope he truly knows how lucky he is to make so much money by playing a sport in which he excels.

It just seems a bit weird to uproot a family to another state just because of taxes when you clearly have plenty of money regardless of tax bracket. But from what I can tell, he wouldn’t make any major decision without the support of his wife. So if he ends up moving, it will be because his wife agrees with him that it’s the best thing to do.

“Keep your mouth shut” and “all you rich white guys” to perhaps the nicest pro on the PGA? Why shouldn’t a person taking the maximum tax hit speak up. All the folks who pay little or no taxes seem to take the opportunity to open their pie holes. Lame observations AL – I appreciate someone who stands up and speaks freely; and detest people who likely are not pulling their own fair share to lob uninteresting ignorant comments.

Phil does have some legitimate complaints here. There are a host of new taxes coming in:

0.9% additional Medicare tax on wages/self employment over $250k for a married couple
3.8% Medicare tax on passive income for high earners (that’s investment income and such)
3% additional California tax on income over $1m
4.6% additional Federal tax on income over %400k

So, for wages and self employment income, that means Phil will pay an additional 8.5% in taxes, ie, $85,000 per million. That’s additional tax over what he pays now

For passive income, the additional tax per million is 11.4%, or $114,000 per million

Phil’s marginal rate will be 53.8% on earned income, and 56.7% on passive income. Those rates are ridiculously high. It’s easy to understand why Phil is annoyed.

Deductions, etc, don’t affect the marginal rate. The marginal rate is what is paid on the last dollar, or millions in Phil’s case, of income. Deductions may lower the effective rate, but not the margin. How would you feel if the various governmental entities took over half your next check?

I understnd why Phil is upset about paying more taxes, I mean who isn’t. But why his he jumping into this political hot bed. Not too many people are going to feel sorry for Phil having to pay more taxes on his $40 million. I’m just dont think this make much sense to be public with his discontent.

Oh and Phil is claiming he is paying 63% in taxes which is intellectually dishonest. Phil’s effective rate in California is in the range of 53-54%.

Let’s don’t bash him because he makes good money. The tax system is a joke and he is right in that changes need to be made. What a welfare society we have become and bleeding hearts like you Stephanie (who btw went to a top school and lives in Manhattan .. not doing to badly) spread this baloney like Phil should not be concerned. We should all be concerned because the system is not working!

Nobody is bashing Phil… he is the one doing all the whining about payinng taxes on $40 million. I pay more taxes than I want to pay and I dont live in California. If Phil don’t like the new tax hikes he is free to move.

And another thing… I would bet you or anyone else that Phil’s effective tax rate is NOT 63% like he claims. I dont think it is 50%, but I’m absolutely sure it is not 63%.

Phil claims that disability and SS tax brings his rate up to 63%, which is again intellectually dishonest. There is an income cap on SS taxes, which I believe is about $115K. Therefore the other $40 million that Phil makes is exempt from taxation.

You say he is whining, I say he is right to say the Government state and federal is getting too much money. What is your problem? If you want to give them more money write them a check, but don’t trash the ones of us that don’t want to give them anymore money to waste and buy votes with. By the way, I am not one of you that makes lots of money and they are after us too.

Government should end all tax deductions and loopholes for traveling trust fund golf scribes so we can see if any “drastic changes” incur around here. California is a sunk ship thanks to people Wei would happily vote for and Phil should bail immediately. From the article linked about this Prop 30 bs “There is no guarantee in the way it is written that the money would be used for schools. Thus, opponents say, it is a “$50 billion shell game.” To buttress this argument, opponents quote the California School Boards Association, which in May 2012 said, “the Governor’s initiative does not provide new funding for schools.”[15]
“Nothing in Prop 30 reforms our education system to cut waste, eliminate bureaucracy or cut administrative overhead.”[15]
Instead of supporting education, the new tax money raised by Proposition 30 will really go to “backfill the insolvent teacher’s pension fund.”

C’mon after all the deductions and other tricks from his CPA he will end up paying no more than 16% in taxes. Most of us have been paying 20-25% for years and we don’t even make a fraction of the 60 millions he makes a year. Shut up Phil and go grab a cup of tea with your neighbor Romney.

I think that Stephanie should keep her sarcastic liberal smerks out of her articles when she’s writing about Phil or any other conservative tour player otherwise she’ll be Wei-over-
par faster than a Tigers Woods
bo

I think that Stephanie should keep her sarcastic liberal smerks out of her articles when she’s writing about Phil or any other conservative tour player otherwise she’ll be Wei-over-
par faster than a Tigers Woods Blocked blocked drive on the 5th

Phil is making a statement about the government’s premise that since he makes more money, the government is entitled to more of it. The government is “we the people” so why do “we” think Phil should give us more of his money? I know I certainly don’t.

I’m with Phil. Until the government shows it will cut spending (significantly) and not waste money the way it does, I don’t want to give them anymore to waste either. Wealth envy in this country is ridiculous. Too many people want to be wealthy without doing anything to earn it. Plus, most of the people who want to use these “social programs”, contribute nothing in taxes to support it, leaving the “wealthy” to pay the bill. If we as a society want to be supported by government programs, then we ALL need to pay for it, not just the top 10% of earners.

Socialism is not taking over this country and portraying a 3% tax increase as such is inane. And the point of social networks is so that the underprivileged are protected when they need it; NOT so that “everyone has to pay for it.” That defeats the point. They cannot pay for it.

Anyway, the main question is thus: Hey Phil, why is that 3-6% all of a sudden pushing you over the edge? (Wei explains that it is a 3% increase in CA; if I remember right, the federal increase is also about that for the super-rich.) So Phil suddenly has to pay roughly 6% more in taxes and he’s having a fit NOW? It’s not like he was keeping $40 million all to himself last year; and suddenly he has to give 60% of it away.

Phil by all accounts is a fairly smart dude, he should understand these numbers and that they’re not an insane burden compared to 2012 levels. So why is it? I hope some of the golf media has the guts to ask (but I doubt it).

Good luck with that Max. the golf media nor any media will challenge guys like Phil. They will let Phil make all of this outrageous statements unchallenged. Again, if I were Phil I would stay the hell out of politics and just play golf.

And Max that Phil’s effective tax rate is below 50%. Which is of course still too much, but my point is he is not telling the truth.

Also while I’m here, taxes are NOT just the “government taking money.” It’s the price YOU pay to live in a society, with other human beings. It’s how we have government officials, schools, roads, and all those things that make America run. We’re a society–a group of people working together. Sure, things can be more efficient, government officials are often lame/idiots, we should have better and proper spending and tax reform is also probably necessary, there’s no denying any of that. But this is how our society runs.

And I guess if Phil wants to up and leave our society, go right ahead.

I’m will Phil on this one. CA is the prime example of tax & borrowers driving a once-beautiful place to live into bankruptcy. Yes it is drastic to uproot your family but that’s what I have done and will do again if I have to. I’d rather leave something- anything to my children without the government getting their hands on it to piss away in seconds.

I live in LA and believe or not I make less than Phil does (can’t seem to get some endorsements for posting on the internet….BS I know). It sucks but we are in this thing together. He has far more means to fix his personal situation than I do. My suggestion would be for Phil to win some tournaments and suck it up and spare us the pity party. I think he will be OK.

Phil, I have been following you for years. You are the very best, but please stop the apologizing. You should not have to pay all the taxes. Washington certainly doesn’t need it. Taxing the rich is a joke. I am not one of you, but trust me I don’t want you or anyone else taxed. We need smaller government period. Move to Tennessee, we have no income tax, just don’t move to Davidson County. It is a great state. Move to Texas or Florida. Don’t continue giving your hard earned money to California. Can’t do much about the Federal, but hopefully one day that will change to. Just don’t feel guilty because God gave you the ability to make money and I know you give a lot of it away helping others. Just remember the people that are complaining are just big time jealous.

I’m surprised nobody has talked about the substantial amount of $$$ that Phil and Amy give to charities on an annual basis.

I’d also love to see Governor Brown’s exact plan as to how his Prop 30 money is going to improve education in California. We are the highest taxed state for education, yet education performance is near the bottom. Just not convinced California’s ineptitude in education has anything to do with a lack of funding, regardless of where the money comes from.